For recording by quality i think Fraps is the best , but it may cause some frame drops depends on your machine.
You could also try to use PlayClaw which has much better file compression thus making the raw files much smaller.But i had some problems while alt tabbing the game it would usually crash it so use it at your own risk.

Why wouldn't xsplit videos work on YouTube? And YouTube partnership is nice i am allowed to do live events "stream" on YouTube. I would use YouTube for streaming but probably would lose viewers. Nice thing about YouTube is they do 60 you 40 percent them.